No Tenders Called

Hawke's Bay Herald-Tribune, Volume 81, Issue 36, 5 November 1937, Page 4

No Tenders Called

-Press Association.)

NEW STATE HOUSES "Pandering to Political Supporters" BUILDERS' ALLEGATION

(By Telegraph-

WELLINGTON, Last Night. The announcemelit that a further contract for State houses at Johnsonville had been let to the Union Construction Co. was referred to to-night in a statement issued by the Builders' jociation. "This block of 20 houses,'' says the statement, "has not been Submitted for public tenders, but has been alJotted direct to a company which was formed with a contributlon of tradesunion funds and Which has a tradosecretary. "It is submitted that never has a worse case of pandering to political supporters been exhibited in NeW Zealand. Public money is being given to this comfpany for work obtaixied at a price Which is not known to the public and without any coinpelition. It is understood that a total of more thail 30 houses is being erected at Johnsonville and that only five were tendered for in open coinpetition. "First, we had a big firm advertismg in England and Scotland for men for New Zealand housing before tenders had eVer been invited for any of the jobs, and then we had the State erecting a joinery factory with public money and leasing it to a private firin for private profit. Then we had the deliberate shutting out of all effective competition for contracts from legitimate cottage-lyuilders by the oonditions under which the tenders were called and the huge amounts of capital needed. Now we have the Government handing out groups of 20 houses to its political friends without competition. "Is there any Wonder that people reter to housing scandals?"